LPS - All posts tagged LPS

Let the crash come! - This is a point I used to make everyday while the Republican Democrat Regime and its cronies used to come on my Fox TV show and explain why they were so desperate to save the insolvent banks like JP Morgan and Goldman Sachs: “Whether it is in the Euro-zone, China, or America, it would be better to let entities fail, and deal with the mess. Yes, GDP will drop a lot, but it will rocket out of the troubles 2-3 years out, the way that Eastern Europe did post-Warsaw Pact.” Here we are three years and tens of trillions of handouts to the banking industry later and the only solution to our crisis remains the same.

But where you do pay attention to sector analysts is in the trends of the numbers that they’re modeling for the sectors that they specifically cover. And in this case, the analyst is covering the handset sector, and he’s making some internal tweaks to his sector models — secular growth of the smartphone within the cyclical growth of the broader handset sector is one of the basis for the smartphone revolution.

This is looking more and more like the vicious cycle we were looking for when we started this short. The company’s desperate for cash just as their stock is crashing and the terms of financing are looking increasingly onerous.

About The Cody Word

Cody Willard writes the Revolution Investing investment newsletter for MarketWatch and posts the trades from his personal account at TradingWithCody.com He is the founder of WallStreetAll-Stars.com and the principal of CL Willard Capital. Cody serves as an adjunct professor at Seton Hall University and is on the University of New Mexico Alumni Board. He was an anchor on the Fox Business Network, where he was the co-host of the long-time #1-rated show on the network, Fox Business Happy Hour. Cody, a former hedge fund manager, and his stock picks and economic outlooks have been featured on NBC’s The Tonight Show with Jay Leno, ABC’s 20/20, CBS Evening News, CNBC’s SquawkBox, Jon Stewart’s The Daily Show, as well as in the Financial Times, Wall Street Journal, New York Times, and many other outlets.